Money supply

The money supply (or money stock) is the total value of money available in an economy at a point of time. There are many ways to define "money". Normal measures usually include currency in circulation and demand deposits.[1][2] Each country’s central bank may use its own definitions of what they consider to be money for its purposes.

Money supply data is recorded and published. It is done usually by the government or the central bank of the country. Public and private sector analysts look at changes in the money supply. This is because they believe that changes affect the price level of securities, inflation, the exchange rates and the business cycle.[3]

  1. Alan Deardorff. "Money supply," Deardorff's Glossary of International Economics
  2. Karl Brunner, "money supply," The New Palgrave: A Dictionary of Economics, v. 3, p. 527.
  3. The Money Supply – Federal Reserve Bank of New York. Newyorkfed.org.

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